Macau, known as one of the world’s top destinations for gambling, is about to further raise its game as an international company is working on a billion-dollar ICO to build the world’s first ever blockchain-based casino gaming club in the island.
Wide Rich Global Company, an investment venture based on Malta (yet another blockchain friendly island), announced their plans to purchase the local casino services and technology company Declub International Company Limited of Macau (DeClub Macau) and incorporate several land-based casinos in the region to establish a world-class blockchain-based casino club, according to a report from Macau Business.
The company asserts that the blockchain technology will upgrade land-based casinos’ efficiency and security and allow for a new decentralized iGaming experience.
According to the project’s whitepaper:
“We leverage blockchain technology to manage all players information to achieve casino information sharing with guaranteed privacy and security information. Even if the players are scattered in different casinos, they can enjoy the ultimate casino gaming experience thanks to real-time synchronization of information.”
This is a textbook implementation of the decentralized ledger technology on the gaming business, a topic we have extensively covered before.
Cash-Backed Initial Coin Offering
To raise funds for the project, Wide Rich is working on an ICO to issue 20 billion DEC tokens. The Ethereum-based DEC tokens will give their investors the rights to host, to affiliate and to receive revenue from cash reserves in the club’s land and online casinos.
To further increase trust in the venture, Wide Rich ensures that all DEC tokens issued will be cash-backed, allowing investors to have a realistic and secure measure of their capital at stake.
Additionally, the company is planning to launch an app that will allow DEC holders to easily host games via an online platform.
Of the 20 billion DEC tokens projected to be issued, half will be sold to raise funds for the project. The other half will be kept by the managing team.
Wide Rich plans to use the funds raised from the ICO as follows:
- 35.5% – Acquiring junket licenses and purchasing land casinos
- 18.5% – Land casinos management
- 10% – Building a token economy
- 9% – Online casinos
- 14% – Contingencies
- 13% – Legal expenses
The company expects the ICO to be completed by the end of 2020, with a pre-sale scheduled for November 2018.
As stated in their whitepaper, Wide Rich is committed to ensuring compliance with Macau’s appropriate laws and regulations:
“Since we are a Malta company and abide by Malta’s laws, we are dedicated to providing a safe, legal and compliant platform which respects the laws of every operating country and area we are (…) We are willing to cooperate with [local] authority for licensing and are willing to discuss anything of their concern.”
Even though the club’s operations will be powered by the blockchain technology, its casinos will probably not offer options for cryptocurrency gambling, since the Monetary Authority of Macau bans cryptocurrency trading in the Island.